N.J. SPORTSBETTING BILL PROGRESSES (Update)

12 February 2010

Lesniak proposal makes it through committee
stage

New Jersey Senator Ray Lesniak's legislative proposal to
permit intrastate Internet versions of gambling
activities currently allowed in Atlantic City casinos
(see previous InfoPowa reports) has progressed
successfully through committee and will soon be debated
in the state Senate.

If passed, the new law will
expand the range of Internet gambling presently allowed
in New Jersey in terms of federal exceptions for online
horseracing. The state currently offers wagering on
horse races to state residents through 4NJbets.com.

Lesniak has proposed that the new intrastate
Internet gaming be regulated by the New Jersey Casino
Control Commission, which would establish a Division of
Internet Wagering to oversee operations and licensing.

In related news, the Hawaiian media is reporting
that moves are afoot to establish limited and strictly
controlled casino gambling in the state.

Representative Jon Riki Karamatsu's House Bill 2759 is
currently on its way to the state House Judiciary
Committee and proposes allowing casinos, provided that
80 percent of [tax] revenues are deployed to benefit
domestic communities and 20 percent is paid into the
state's general budget coffers.

Last Friday the
bill enjoyed a remarkably easy passage through the full
chamber and was carried by a vote of 40 to 9. The
state's House Judiciary and Consumer Protection
Committee had earlier approved a related House Bill 2251
which permits the establishment of a gaming commission
with powers to issue a single licence of no more than 5
years duration to a casino operator on the island state.
The bill also carries strict requirements regarding the
exclusion of underaged and problem gamblers, and makes
provision for taxation.

In company with a number
of other American states, Hawaii has been seeking new
sources of tax income to bolster ailing state finances.
These efforts have also involved proposals for the
introduction of a state lottery.